"I don't want taxes over 50 percent of GDP. I don't think you need that. I'd like to see enough so you have a strong social safety net," said Prof. Krugman.

"I think that Sweden is an interesting thing, right? Based on the ideology that governs American politics, there should be grass growing in the streets of Stockholm, there should be Mad-Max-style gangs of anarchists roaming the country, and, in fact, Sweden does fine, because they have a well-run tax system, which supports a strong social safety net."

Watch below Krugman explain why Sweden has close to ideal taxation system, where the French taxation system went wrong, and how we should be taxing the rich.